TAN-VIET International S.A. is announcing a new, global development strategy

TAN-VIET International S.A., one of the market leaders in production and distribution of oriental instant noodles, sauces, spices, and traditional noodles in Poland, is announcing a new development strategy. After 26 years’ activity, the company has decided to transform a business centered around Poland and Vietnam into an international company with a highly diversified revenue from over 60 countries in 4 continents.

The company, founded in 1990 by Tao Ngoc Tu, has retained its leading position on the market for over 25 years, successfully competing with international FMCG brands. TAN-VIET International S.A. is the sole distributor of VIFON products in Poland and in Europe, as well as the owner of brands such as TaoTao, Tokyoto, Polka, and Ammko. The Tao-Tao brand is the leader on the oriental sauces and noodles market, while VIFON is a leading player in the instant soups category in Poland and in Vietnam. From 2005 it belongs to the TAN-VIET Group.

This acquisition was a spectacular summation of the 15 year-long development of TAN-VIET in Poland, during which it transformed itself from a distributor of VIFON products into a business tycoon, and VIFON became one of many TAN-VIET’s business interests. In Vietnam it’s a brand of near-legendary stature, with an over 50-year tradition.

TAN-VIET was the creator of its categories on the food market in Poland. The VIFON brand, distributed by companies in Slovakia and Hungary, has become number one in the instant soups category in both these countries. Aside from the Polish market, TAN-VIET owns companies in Germany, Slovakia, Hungary, and Romania. Moreover, it distributes its products in other European countries, and, what’s worth mentioning, it has been active in Cuba since 2002, where it promotes Polish food products under the “Polka” brand.

Using the competitive advantage and experience gained over 25 years in Poland, and 50 years in Vietnam, the year 2015 was dedicated to mapping out a new growth strategy. It focuses on three main pillars of growth:

1. European markets

Using TAN-VIET’s brand awareness, their leading market position in many Central-European countries, and a highly developed distribution network, the company is planning to hasten broadening its product portfolio by adding new flavors and adding a new category of ready meals, which, being that they could be seen as an extension of our current portfolio, should quickly gain customers’ trust and recognition.

The second key initiative within the first pillar is amplifying the company’s presence in Western Europe, specifically concentrating on one of the biggest European markets – Great Britain – which already benefits from its rapid growth and a large number of the Polish living in England, Scotland, and Ireland.

2. Asian markets

According to the company’s plans, the Vietnamese market, which is the base for most of our profits in Asia, will remain the key country in this part of the world. Due to strengthening the wheat noodles category, and the expansion of the distribution network based on the new production plant in the north of Vietnam (currently the company has a factory in the south). TAN-VIET is planning to increase the income in this market multifold. Current beneficial demographic trends (increasing birth rate) and economic phenomena (the society becoming wealthier) lead us to believe that such an endeavor will succeed.

3. American markets

Keeping in mind the experience and TAN-VIET’s presence in Cuba, the company is planning to mark its presence on the American markets to a larger degree than in the past. To achieve that, some of the new production power in Northern Vietnam will be used.

Considering the great divide between highly developed North American countries (the USA, Canada), and the growing economies of Central and Southern America, the expansion plans are divided into two initiatives. Entering developed markets could be described as being a “drop in an ocean”, because even a small share in markets this big would mean a relevant portion of the company’s income. In contrast, while expanding in developing markets, using the experience gained in Poland and Cuba, the company will aim to become the leader, or a key player in a given country’s market.

“In the last 26 years TAN-VIET International S.A. has achieved an immense deal of success, becoming the leader in its product categories. Not without satisfaction, I must state that our country has become too small for us. Because of that the time has come to consider the development of the company in global terms, and to use the experience we have gained in a dynamic expansion on foreign markets. It is our goal to grow six-fold over the next five years, reaching 600 mln USD revenue, gaining new markets both geographically, and by means of products. I am certain that this goal is absolutely achievable.” – sums up Tao Ngoc Tu, the founder and chairman of the supervisory board of TAN-VIET International S.A.

source: tan-viet.com.pl